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A company is considering the purchase of a 30-tonne hoist. The first cost is expected to be $230 000. Net savings will be $35 000
A company is considering the purchase of a 30-tonne hoist. The first cost is expected to be $230 000. Net savings will be $35 000 per year over a 12-year life, and it will be salvaged for $30 000. If the company's after-tax MARR is 8 percent and it is taxed at 45 percent, what is the present worth of this project? The depreciation rate is 20%.
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